Digital Rail Market

www.thalesgroup.com OPEN

Digital Rail Market

11th Florence Rail ForumFlorence School of Regulation 27 November 2015

Luigi RUCHERThales Italy Technical Director

2OPENCe document ne peut être reproduit, modifié, adapté, publié, traduit, d'une

quelconque façon, en tout ou partie, ni divulgué à un tiers sans l'accord préalable et écrit de Thales - ©Thales 2014 Tous Droits réservés.

Thales

Employees

61,000billion euros

Group Revenuesin 2014

13

countries

Global presence

56

Self-funded R&D

675million euros

GROUND TRANSPORTATION SYSTEMS

A WORLDWIDE PRESENCE

Over

100Customers in more than 50 countries

26Large local centres all over the world

7,000Employeesworldwide

5 CAPABILITiES FOR A COMPLETE TRANSPORTATION OFFER

5SIGNALLING FOR MAINLINES

REVENUE COLLECTION SYSTEMS

SIGNALLING FOR URBAN RAIL

SERVICES

INTEGRATED COMMUNICATIONS AND SUPERVISION

THALES GROUND TRANSPORTATION MARKETS

URBAN RAIL BUSMAINLINE RAIL TRAMWAY AND LRT ROAD

AvionicsLand & Air SystemsDefence Mission SystemsSecure Communications & Information SystemsGround Transportation SystemsSpace



IT-based critical systems for ground transport

Civilworks

Trackworks

Traction power

& energy

IT-based critical systems

Rollingstock

Rail / metro infrastructure project

SignallingSupervisionCommunicationsSecurityPassenger information & comfortFare collection

Safety systems expert

Value added services provider

Strong customer satisfaction focus



IT-based critical systems for ground transport

SignallingSupervision &

Communications

Revenue

Collection

Main Line

Railways

Urban Public

TransportRoads



A proven worldwide track record

Signalling

Leader in electronic interlocking present in 25 countries Leader in ETCS trackside (European Train Control System)#1 in urban rail CBTC (Communication Based Train Control)#1 in electronic axle counters

Integrated Supervision& Communication

#1 in integrated supervision & communication systems

Fare

Collection

Unique provider of fare collection systems integrated on a nation-widescale; Systems in use all over the worldMajor supplier of advanced road tolling solutionsLeader for car park management systems in France

▌ Rail control leader

▌ Over 100 customers worldwide



Thales Ground Transportation Systems by the numbers

60 metro lines over 30 major cities secured by the Thales Seltrac® CBTC systems

3 billion passengers carried annually by the ThalesSelTrac® CBTC systems

Thales supervises more than 100 metro lines in 46 cities throughout the worl



Thales Ground Transportation Systems by the numbers

16,000 km of track equipped with the Thales AlTrac ETCS solutions

219,949 Thales rail field equipment installed worldwide

ARAMIS Traffic Management System is currently controlling: 72,000 kms of route, 52,000 trains per day in 16 countries of which

4 are total national networks

15% traction energy savings with Thales train management system



Digitalisation, a strategic move towards future

E&MRolling Stock-dominated

Rail ControlIT-oriented



A major trend towards digitalisation

▌ SNCF: “Leverage digital technology to give each user a more powerful tool”

Staff: “greater efficiency”Passengers: “seamless, stress-free, comfortable mobility”IT developers and partners: reliable, robust resources to develop innovative services

▌ NR : “The Digital Railway Programme”

Designed to benefit the economy

▌ DB:: « Digitalisation is the biggest challenge in DB's history.” Source: Network Rail, Digital Railway,

April 2015



THALES, key partner in most of the EU transport initiatives

▌ ETCS

Thales played a key role in UNISIG defining and implementing this European standard and now offers fully compliant solutions.

▌ GALILEO et EGNOS

Thales Alenia Space is one of the major players defining, developing, and deploying Galileo and EGNOS positioning system project.

▌ CleanSky

Thales is a founding member of CleanSky and Cleansky2

▌ SESAR

Thales is a founding member of Sesar



Shift²Rail – Joint Undertaking

▌Thales founding member

Leading IP4 on “IT solutions for attractive railway services”

Main partner in IP2 on most of the topics

Active in Predictive maintenance in IP3

Integrated Mobility Management (Cross Cutting Acitivities - CCA)



Other GTS European initiatives on Digitalization

▌ Digital SERA

Thales has been an active contributor of the Digital Railways white paper

▌ FosterRail : Roadmap for future research in the rail sector

Thales is preparing the « IT and Enabling Technologies » research topic presented at ERRAC general assembly on 10th November

▌ PPP Big Data on Transport

Thales is currently looking at leading a specific sub-project on public transport

▌ Many research activities on Cyber security



Thales Strategy

▌ Digitalisation to improve end-user experience (B to B to C)

Cloud-ready solutions:Transcity UP

Ticketing as a service

Customized & real-timepassenger information

Business analyticsfrom Big Data

Cyber security

▌ Smart station (Hub)

Multimodality management

In-door location systemsPhysical security:convergence of ICS-SIX (PRS) portfolio

▌ Digitalisation to improve network operation

Predictive Maintenance

Signalling digitalisation & virtualization

- Movement authority with no field equipment

- Virtual blocks- ATO

Traffic management systems (cloud-ready): Aramis and OCC

Energy efficiency

Business analytics from Big Data

Cyber security

Signalling through GNSS, depending on SIL4 and business model



Cyber security & Ground Transportation

▌ Ground transportation is changing from analog to digital world

Railway companies have grown to become major national players for data highways

Many railway companies a have similar or even bigger backbone infrastructure compared to telecom providers

Many railway companies use commercial telecom providers for the setup of redundant network connections

One of the biggest challenges is to secure their infrastructure against cyber threats

▌ But:

Systems that have life cycles of more than 25 years of age must be supported.

Safety relevant technical functions such as latency times for example can not be compromised.

Safety certifications/approvals can only be maintained if adequate measures are established.

The railway industry needs new standards for Cyber Security (e.g. CENELEC).

▌ After n-Cipher in 2008, announcement (Oct 19, 2015) of the acquisition of VORMETRIC reinforcing Thales

expertise in cybersecurity



▌Significant reshaping of the rail industry landscape

Rolling stock firstly impacted

Refocusing on profit-making rail control business

Multimodal industry players blossoming

▌Awareness of railway operators towards digitalisation initiated and

supported by governmental institutions

Thales, thanks to one of the most comprehensive customer-base

and technological portfolio, is keen to contribute more actively to

the Digital Railways initiatives

Documents

Digital Rail Market